Tim Cook is reportedly hosting an all-hands meeting with every Apple employee today about the revelations regarding stalling iPhone sales. AdvertisementThe news caused Apple shares to plummet in after-hours trading, taking some Apple suppliers with it. As part of the meeting, Cook will spell out what the news means, and take questions from employees. told Bloomberg after the release of yesterday’s letter. Wedbush Securities analyst Daniel Ives called it, “the most defining moment of Cook’s career.” Twitter/Mark Gurman … [Read more...] about Tim Cook will host meeting for all Apple employees to talk iPhone
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Apple shares plummet following Tim Cook letter
AAPL shares fell steeply in after-hours trading on Wednesday, after Tim Cook acknowledged that Apple’s earnings would underperform its own guidance for Q4 2018. AdvertisementShares fell by more than 7.4 percent, declining as low as $146.22. That’s the lowest that Apple has hit since July 12, 2017. It means that Apple has lost a massive 35.5 percent of its value in just three months. regards to its own stock price. After becoming the first public company in history valued at $1 trillion last summer, AAPL peaked in early October when it was trading at $232.07. biggest rise in five years. However, it was still trading considerably down from its height. The Street … [Read more...] about Apple shares plummet following Tim Cook letter
Tim Cook issues the first Apple profit warning of the iPhone era
GENERALLY, APPLE PROFIT WARNINGS are of the 'guys, there may be long queues at the bank because we've got too much money to pay in' variety. Not this time, however: Apple has issued its first profit warning since 2002, back when it's best-selling products were the iMac G4 and second-generation iPod. In a public note to investors, CEO Tim Cook announced that the company was revising its estimates for the all-important end-of-year income, and stating the company was on course to make ‘just' $84bn in revenue, with a gross margin of around 38 per cent. The previous estimate had Apple on course to make $91bn. At this difficult time, shareholders reacted in exactly the way Cook and Co should have expected: high-tailing it out of there. Apple shares dropped 7.45 per cent when sales were reopened, wiping $55bn off the company value. It never rains, eh? So why was the quarter so much weaker than expected? In Cook's letter, he highlighted two main difficulties. The first was "economic … [Read more...] about Tim Cook issues the first Apple profit warning of the iPhone era
Apple’s shock profit warning chills Wall Street as Tim Cook blames China’s economic slowdown
Apple has sent a chill through Wall Street and the tech industry by cutting its sales forecasts for the first time since 2002, blaming a sharper than expected economic slowdown in China. Shares in the tech giant fell by 8pc after it revealed that iPhone sales were well below expectations in the final months of 2018. The news, which comes as a spotlight grows on Beijing's attempts to revive stalling growth, hammered Asian suppliers and triggered a broader selloff in global markets. The unscheduled update was a rarity for the company and sent shares in other major tech companies including Amazon and Microsoft falling. The update threatens to spark a wider market drop among tech shares on Thursday. Nasdaq E-mini futures were down 2.2 percent and S&P 500 E-mini futures off 1.3 percent. MSCI's broadest gauge of Asia-Pacific shares outside Japan fell 0.4 percent after an early attempt at a bounce. Japanese markets were closed for holidays but Nikkei futures dropped 1.9 … [Read more...] about Apple’s shock profit warning chills Wall Street as Tim Cook blames China’s economic slowdown
Tim Cook points out cheaper replacement batteries equals fewer iPhone upgrades
Bottom line: Fewer people are buying new iPhones than Apple and financial analysts would like. There are a variety of reasons why that is the case, but the end result is that there will be more incentives offered in the future. As Apple is preparing to make adjustments for 2019, CEO Tim Cook has published a letter to investors with first quarter goals. It is yet another way to lower expectations back towards reality. Wasting no time, Cook throws out revenue and expense numbers followed by the reverberating message that has been echoed across nearly every publication that covers Apple, "our revenue will be lower than our original guidance for the quarter." Changing market conditions are cited as a major reason why Apple's own estimates have not quite aligned with actual outcomes. China's economy showed the second lowest GDP growth during the second half of 2018 within the last 25 years. As a market where Apple expected to drastically expand within, a weak period stifled any hopes of … [Read more...] about Tim Cook points out cheaper replacement batteries equals fewer iPhone upgrades